James' did not endorse either of the two men looking to secure the Republican nomination.
James fought for two weeks in an attempt to pull into second place for a runoff for the Republican nomination. After a recount, James' narrow loss to Dr. Robert Bentley grew to just under 300 votes. Bentley picked up more than 100 votes in the recount.
Bentley, who took the second highest number of votes in the Republican primary, will face frontrunner Bradley Byrne on July 13 for the nomination.
The Alabama Republican Party proclaimed that "James puts party above self" after his withdrawal announcement.
Said Rep. Mike Hubbard (R-Auburn):
Today, Tim James demonstrated his selflessness and his character by putting best interests of the Alabama Republican Party and the State of Alabama ahead of himself. Tim's decision to withdraw his election contest allows us to focus squarely on the runoff election, which is certainly a benefit to our Party.
"Throughout his campaign, Tim has raised issues that have resonated with many Alabamians and he has contributed greatly to the enthusiasm of our Party. He is a quality individual, a true statesman and I am proud to have him as a leader in the Republican Party.
James is not counting out another run at political office, saying he's only 48-years-old. He joked to reporters that he has another 20 years or so to make a decision.